Starwood Posts Fourth-Quarter Loss

8th February 2010 (Last Updated February 8th, 2010 18:30)

Starwood Hotels & Resorts Worldwide posted a fourth-quarter loss due to a drop in its holiday-ownership business. Starwood Hotels posted a loss of $107m compared with a year-earlier profit of $79m. The fourth quarter's revenue per room fell 7.9%, which is signific

Starwood Hotels & Resorts Worldwide posted a fourth-quarter loss due to a drop in its holiday-ownership business.

Starwood Hotels posted a loss of $107m compared with a year-earlier profit of $79m.

The fourth quarter’s revenue per room fell 7.9%, which is significantly better than the third-quarter’s 20% slide.

Earnings from discontinued operations rose to 51¢ from 49¢ a share, while revenue fell by 1.2% to $1.28bn.

The hotels chain, however, has an improved outlook for 2010 as it saw an increase in demand during the last two months.

The company unveiled projected earnings for 2010 of 63¢ a share, versus the 56¢ average prediction by Thomson Reuters analysts.

Starwood operates hotel brands such as W Hotels, Westin, St Regis and Sheraton and has focused on cost controls and debt reduction in recent years.